Abacus Money Market Fund to Boost Returns on Investments
Abacus Money Market Fund, an open-ended investment scheme will preserve investors’ capital market provide competitive returns to investors.
This was the assertion of the Chairperson, Investment One Funds Management Limited, fund managers of Abacus Money Market Fund, Mrs. Joke Chukwuma during the listing of the fund on the Nigerian Stock Exchange (NSE) in Lagos.
A mutual fund is an investment vehicle that pools monies from many investors for the purpose of investing in securities such as stocks, bonds, money market instruments and other assets. It is then managed by professional fund managers for optimum returns.
According to Chukwuma, the fund, which is the first listing on the exchange in 2018, is a good opportunity to reach out to the retail end of investing public, “and we belief with the listing of Abacus Fund, we will be able to reach out to a lot more people outside the institutional investors.”
She explained that the fund is a diversified portfolio with investments in quality money market instruments, short term debt securities, such as bankers’ acceptances, commercial papers, treasury bills and others.
On the primary objectives of the funds, she said that it serves as capital preservation and provide competitive returns particularly for investors seeking short term returns whilst guaranteeing investor’s principal.
Chukwuma added that the fund also offers opportunities for good returns compared to savings account while maintaining a low risk and conservative approach to the investment.
A total of 50 million units of the Abacus Money Market Fund were listed at N100 per unit.
Speaking generally on the company’s mutual funds business, Chukwuma said it provides individual and corporate clients access to the firm’s collective investment management services.
She said Investment One Funds Management Limited is currently the third largest mutual fund manager in Nigeria managing mutual funds and other retail investment products.
Investment One Funds Management Limited is subsidiary of Investment One Financial Services Limited, a company incorporated in 2008 as GTB Asset Management Limited.
The company was a wholly owned asset management subsidiary of Guaranty Trust Bank (GTBank) to undertake the businesses of asset management and securities brokerage.
However, in 2011, due to new regulatory requirements, GTBank divested from the company following a management buyout and the company’s name was then changed to Investment One Financial Services with the long term goal of becoming the leading non-bank financial services group in Nigeria.